On January 1, 2018, Al-Kamel Inc. decides to invest in 5,000 shares of Safari stock. On July 15, 2018, Safari declares OR 0.30 per share cash dividend to stockholders of record on July 22, 2018, Safari reports net income of OR 50,000 for 2018. Assume Safari has 25,000 shares of voting stock outstanding during 2018. What would be the percentage of ownership of Al-Kamel Inc. Select one: a. 30% b. 25% c. 10% d. 20%
On January 1, 2018, Al-Kamel Inc. decides to invest in 5,000 shares of Safari stock. On July 15, 2018, Safari declares OR 0.30 per share cash dividend to stockholders of record on July 22, 2018, Safari reports net income of OR 50,000 for 2018. Assume Safari has 25,000 shares of voting stock outstanding during 2018. What would be the percentage of ownership of Al-Kamel Inc. Select one: a. 30% b. 25% c. 10% d. 20%
Chapter15: Dividend Policy
Section: Chapter Questions
Problem 14P
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On January 1, 2018, Al-Kamel Inc. decides to invest in 5,000 shares of Safari stock. On July 15, 2018, Safari declares OR 0.30 per share cash dividend to stockholders of record on July 22, 2018, Safari reports net income of OR 50,000 for 2018. Assume Safari has 25,000 shares of voting stock outstanding during 2018. What would be the percentage of ownership of Al-Kamel Inc.
Select one:
a. 30%
b. 25%
c. 10%
d. 20%
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